Eligibility reviews

Depending on your eligibility profile, your eligibility for hbcf insurance may be subject to regular review.

While it will vary depending upon a builder’s primary operating segment, in general, builders with an approved open job value over $3 million will be subject to regular review. The review will assess any change in the financial viability of the builder.

The reason your eligibility is reviewed is to:

  • identify the level of performance and to set up appropriate future review intervals and scope;
  • contribute to better standards of financial management and business controls;
  • enforce HBCF adverse history rules to reduce phoenix operations; and
  • identify industry trends to inform portfolio policy and guidelines.

The review frequency and scope of the review will reflect the size, past history and complexity of a builder’s operations.

Frequency of reviews

The frequency of your eligibility review is determined by two factors:

  • the outcome of the Eligibility Risk Manager's previous eligibility assessment
  • hbcf programmed periodic review requirements. 

The frequency of your review will be notified to you and could be quarterly or biannual but will normally be yearly. 

The Eligibility Risk Manager may also undertake a special eligibility review if it appears a builder’s circumstances have changed.

Cancellations, suspensions and modifications

You may have your eligibility cancelled, suspended, or have restrictive modifications applied by the Eligibility Risk Manager.

The Eligibility Risk Manager will provide you with reasons for the decision and give ten business days’ notice of any decision.

Eligibility will also be cancelled if your licence has been cancelled or suspended by NSW Fair Trading and where the licence has been surrendered.

It will also be cancelled where a licence has expired for longer than three months.

The Eligibility Risk Manager is not required to give ten business days notice in these circumstances.

You can find more information about circumstances when this can occur in the underwriting guidelines.